I'm not too sure how to name this, but I can explain what it does... This is just circuit that translates from someone touching the base of the Darlington transistor and closing the circuit by touching something (potentiometer) at some point. the goal is is to determine where that person is touching.
tl;dr
Change the potentiometer's wiper position and the LEDs should represent at what resistance the wiper is.
If you have any question, just leave a comment.